Visibility down at Fidessa

(By Anthony Miller) Trading systems software vendor Fidessa noted poorer business visibility in today’s trading update (see here) despite seeing little change in customers’ buying behaviour. The tone of the statement was far more muted than at August’s interim results (see here), with management expecting continued banking sector consolidation and spending cuts. Fidessa is operating right at the very pointy bit of the troubled banking sector. It was one of the many S/ITS players hit by Lehman’s collapse, which left the company with £600k of bad debt and a £1.3m hole in the top line. CEO Chris Aspinall remained hopeful that Fidessa’s £30m cash pile, zero debt and 24% operating cash flow margins would help it weather the storm. We hope so too. Fidessa's shares were 935p at the interims (see Fidessa - right products for downturn?) but were sitting at 573p as UK markets opened this morning.